How it works
How It Works: Making an Enquiry with Finance Business Debt
An enquiry is free, places you under no obligation and does not involve a credit search. This page explains the four stages, what information helps at each one, what an introduction to a finance provider involves and what you can expect from us throughout.
Make a free enquiry
Tell us a little about your business and we will explain the options. No obligation, and enquiring does not involve a credit search.
The four stages
From first contact to a decision you are comfortable with
Most enquiries follow the same path. You can stop at any stage, and many people do, having learned what they needed.
- 1
Tell us about your business
Trading structure, sector, time trading and approximate turnover. This tells us which categories of finance are even available to you.
- 2
Explain your existing finance
Each facility, its balance, cost, term and payment, plus any security or personal guarantee. This is where the real picture emerges.
- 3
Review the options
We explain which types of finance or support may be relevant, what each would involve and where it would be a poor fit.
- 4
Consider the next steps
If you want to go further, we explain how an introduction would work. If not, you leave with a clearer understanding and no obligation.
Each stage in detail
What helps at each stage, and what happens
1. Tell us about your business
What helps: whether you trade as a limited company, LLP, partnership or sole trader; your sector; how long you have traded; rough annual turnover; and whether the business is currently profitable.
What happens: we use this to rule options in or out. Some providers only work with incorporated businesses. Agreements of £25,000 or less with sole traders and small partnerships are regulated consumer credit, which changes who can offer them and what protections apply.
2. Explain your existing finance
What helps: a list of every facility, including the lender, balance, interest rate or total cost, remaining term, monthly payment, any security and any personal guarantee. Settlement figures, if you have them, are useful. Our guide to the documents needed to refinance business debt shows what providers later ask for.
What happens: we talk through what the borrowing is costing in total, where the pressure points are and whether the problem is cost, structure or timing.
3. Review the options
What helps: being clear about what you want to change. A lower monthly outgoing, fewer facilities, a fixed end date and extra working capital are different goals with different answers.
What happens: we explain the categories that may fit, such as consolidation, refinancing, restructuring or working capital finance, including what each costs, what security may be asked for and what the drawbacks are. Where new borrowing looks unsuitable, we say so.
4. Consider the next steps
What helps: time. There is no deadline on an enquiry and no benefit to us in rushing you.
What happens: if you ask us to, we explain which third-party providers or specialist advisers may be appropriate and how an introduction would work, including how we are paid. If you prefer to read more first, the Learning Centre and the debt comparison tool are there for that.
Introductions
What an introduction to a provider involves
If you decide to take an option further, and only then, we may introduce you to a third-party finance provider or specialist adviser. From that point the relationship is between you and them.
- The provider assesses your business. It applies its own lending criteria to your trading history, accounts, bank statements and existing commitments.
- It carries out its own checks. These normally include identity verification and credit searches on the business and, for limited companies, often on the directors. The provider should tell you whether a search is soft or hard before it runs one.
- It issues its own terms. The rate, fees, term, security and any personal guarantee are set by the provider and documented by the provider.
- You decide. Any offer can be declined. You may wish to take independent legal advice before signing a personal guarantee or a charge over property.
Finance Business Debt is not party to the finance agreement, does not set or influence the terms and cannot guarantee that an introduction leads to an offer. If a provider's terms differ from what you expected, the provider should explain why; if something has gone wrong with our part of the process, our complaints procedure applies.
Timings in general terms
Timings depend on the provider and the product, not on us. Unsecured facilities, where the provider relies on bank statements and accounts, can move from application to funds in days once documents are supplied. Secured facilities that involve property valuations, legal work and the release of existing charges usually take several weeks. Restructuring by agreement with existing creditors has no fixed timescale. A provider will give you its own estimate once it has seen your information.
What it costs
Making an enquiry is free. Any commission we may receive from a provider is disclosed on our regulatory information page and again before an introduction. Any fee a provider or adviser intends to charge you, including arrangement fees, valuation fees, legal fees and broker fees, must be set out before you commit to anything. If a fee has not been explained in writing, ask for it in writing before proceeding.
Expectations
What we need from you, and what you can expect from us
What we need from you
- An honest picture of the business, including anything that worries you
- A list of existing facilities with balances, costs and terms
- Whether any personal guarantees or charges are in place
- A clear idea of what you want to change, even if it is only "the monthly payment"
- Permission before we share your details with any third party
What you can expect from us
- A plain explanation of the options and the drawbacks of each
- No credit search and no application without your instruction
- A clear statement of how we are paid before any introduction
- Honest signposting to free help if borrowing is not the answer
- No pressure, no deadlines and no guarantees of approval or savings
Common questions
Questions about the enquiry process
Does making an enquiry commit me to anything?
No. An enquiry is a conversation about your business and its finance. Nothing is submitted to a provider, no credit search is run and you can stop at any stage without explanation.
Will you share my details with lenders automatically?
No. We share your details with a third-party provider or adviser only when you ask us to make an introduction. Our privacy policy explains how enquiry data is handled and retained.
Can you tell me whether I will be approved?
No. Approval is a decision for the provider, based on its own criteria and checks. We can explain what providers typically look for and where an application is likely to be difficult, but we cannot predict or guarantee an outcome.
What if my business is already behind on payments?
Tell us at the start. New borrowing is often the wrong route for a business in arrears, and we will say so. Our business loan arrears page explains the options, and Business Debtline offers free, impartial advice.
Do I need my accountant involved?
Not for an enquiry, although your accountant will usually have the figures a provider later asks for. For larger or secured facilities, and before signing a personal guarantee, independent professional advice is sensible.
Ready to understand your business finance options?
Share a few details about your business and its existing borrowing. We will explain which options may be worth exploring and what to consider before you decide.